M-PESA for churches, harambees, and fundraising in Kenya 2026

Churches, mosques, and Kenyan harambees have M-PESA rail needs that mix retail-like volume (Sunday offerings, hundreds of small tickets) with project-based fundraising (one big weekend, potentially millions in a few hours). The right rail depends on the shape of the collection, and the governance around it depends on the trust the donors place in the committee. Both matter.

What a church or fundraiser actually needs from M-PESA

• Volume tolerance. A single Sunday can produce 500+ transactions in an hour. The rail must not throttle.
• Member attribution (for tithes). Tithes are traditionally tracked per member. Paybill account = member number.
• Anonymous acceptance (for offerings). Members often prefer offerings unrecorded. Same paybill accepts blank/random references.
• Project sub-accounts. New roof, medical fund, orphan sponsorship: each has its own line on the same paybill or a temporary sibling paybill.
• Governance visibility. The treasurer alone cannot control the paybill statement. Second signatory or read-only board access via the Business app is best practice.
• Public statement. After every fundraising event, publish the total plus a summary breakdown. Trust is the sustainable rail.

Recommended setup: paybill, till, or Pochi

• Standing church, regular tithes. Dedicated paybill in the church name (registered under the Societies Act or PBO Act). Member number as account reference. See how to get a paybill.
• Small church or mosque, sub-KES 200k monthly. Buy Goods till in the entity name is fine. Signage at the door with the till number. See how to register a till.
• One-off harambee. Two clean options: (1) a temporary paybill activated for the event and closed after settlement, (2) a Buy Goods till in the harambee committee's registered name. The temporary paybill option keeps reference-tracking cleaner.
• Never a committee member's personal M-PESA line. This is the single biggest cause of harambee-money disputes in Kenya.

Charges you will actually pay

On paybill, both members and church pay tiered fees. On Buy Goods till, only the church pays; members send free. Full schedule in M-PESA charges 2026.

Sample bands typical for church collections:

• KES 100 offering: free on both sides.
• KES 500 offering: KES 12 sender, KES 5 merchant (paybill); 0 sender, KES 5 merchant (till).
• KES 2,000 tithe: KES 30 sender, KES 32 merchant (paybill); 0 sender, KES 32 merchant (till).
• KES 20,000 harambee pledge: KES 108 sender, KES 108 merchant (paybill only).

Setup steps

Church paybill:

1. Church certificate of registration (Societies Act, Non-Governmental Organisations Coordination Board, or PBO Act certificate).
2. Church KRA PIN.
3. Church bank account with two signatories.
4. Apply for a paybill via m-pesaforbusiness.co.ke or a Safaricom Business Rep. Specify "Religious organisation" as the use case.
5. Sign the Lipa na M-PESA merchant agreement.
6. Print the paybill number on the church bulletin, project screens, and the members' portal. State clearly which account codes serve which purpose.

Harambee till (temporary):

1. Harambee committee formalised in writing, chairperson and treasurer named, bank account opened in the harambee name (some banks offer a temporary account).
2. Apply for a Buy Goods till through the Business app.
3. Publicise on the invitation card and event day.
4. After the event, publish a total and settle to the beneficiary within a week.

Reconciliation notes specific to churches and fundraising

• Sunday close. After service, treasurer plus a second signatory pull the paybill statement for the offering window. Cross-check against the physical offering count (if the church still passes plates). Log both in the church minutes.
• Member pledge tracking. Match paybill statement entries to member numbers, credit to the tithe ledger. Members can request a year-end statement (useful for personal record-keeping).
• Project appeal ring-fencing. Money marked for "new roof" goes to the new-roof ledger, not the general fund. Do not co-mingle.
• Harambee close. On the day, announce the running total every hour. At close, treasurer + chairperson + at least one guest publicly count and announce the final. Bank same-day where possible, or lock in a safe until banking hours.
• Publication. Weekly bulletin lists the offering total and project balances. Annual budget vs actual to the congregation.

Common problems and how to fix them

• Member paid tithe, treasurer says not received. Ask member for M-PESA transaction ID. Search paybill statement. If they used the wrong reference, credit the correct member ledger.
• Harambee money went to a personal line. Recover it through polite pressure and public accountability. Prevent by using the committee till from the start.
• Anonymous offerings mixed with pledge tracking. Publish the rule clearly: "For pledge tracking, use your member number. For anonymous offering, leave account blank."
• Duplicate donation. Refund via B2C from the paybill same day, notify the donor.
• Governance complaint. Second signatory should have read-only access to the paybill statement so no single officer can hide activity.

KRA, PBO Act, and reporting

• Income-tax exemption. A church registered under PBO Act (or a religious society) is generally exempt from income tax on donations used for its stated public benefit purpose.
• PAYE. Full-time pastors and staff on payroll attract PAYE, NSSF, SHIF, Housing Levy.
• Commercial arms. A church-owned bookstore or guest house is a commercial entity; regular business tax and VAT rules apply.
• Annual return. PBO / society files an annual return with the regulator plus KRA. Paybill statement is the main revenue evidence.
• eTIMS. Required for VAT-able activities above threshold. Not required for tithes and offerings from congregation.

Worked examples

Sunday offering, mid-size church:

Sunday collection is roughly KES 320,000 gross, KES 315,000 net after merchant fees. Monthly ~KES 1.28M gross.

Harambee for a KES 2M medical bill:

• Committee registers a temporary paybill 5 days before the harambee.
• Event day: 380 donations in ~4 hours, averaging KES 5,300. Gross: KES 2,014,000.
• Merchant fee (mostly KES 55 to KES 108 bands): ~KES 32,000.
• Net to the family: KES 1,982,000. Published on the community WhatsApp same evening.

See also: How to get an M-PESA paybill · M-PESA for schools · Business hub.